Verizon Communications Inc. (NYSE:VZ) Push Into Connected Cars Introduces Wi-Fi Hotspot Feature

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Verizon Communications Inc. (NYSE:VZ) Push Into Connected Cars Introduces Wi-Fi Hotspot Feature

As the demand for enhanced technology builds up, Verizon Communications Inc. (NYSE:VZ) is choosing to exit from its comfort zone. It is eyeing bigger horizons, thus it is going beyond the mere provision of mobile phone services. It is diving into the expansion of the Hum product lineup, which is expected to make driving experiences safer, smarter and more connected.

In its lineup, the mobile carrier says that it will be including a Wi-Fi hotspot capability. It will also have premium hardware and a new mobile app. The Wi-Fi hotspot, which will come with a new premium Hum package is primarily for the cars and will allow passengers browse using whichever device that does not have independent connectivity.

The push into connected car apps hits back at the wireless phone business

Through the use of Bluetooth the HumX device pairs up with a speaker, before clipping to a car visor. The new devices come at a time when the phone business is struggling to remain in the market. Apparently, there are three options to choose from; the Wi-Fi hotspot, the Hum Plus, and the HumX.

Either of the two will offer exclusive performance according to the director of product at Verizon Telematics, Michael Maddux. He says, “Whether you’re enjoying the premium HumX with Wi-Fi hot spot, utilizing core features with Hum+ or introducing yourself to Hum with the free app, you can now feel more connected than ever.”

But Verizon is not alone in the market with such offerings

The different packages from Verizon have different prices. The Hum+ hardware will cost $30 plus a monthly charge of $10 while the higher-end HumX will be at a cost of $99, plus $15 per month. This will be inclusive of 1 GB of data use.

However, Verizon is not alone in the activities of car connectivity. AT&T Inc.(NYSE:T) is already providing a built-in connected car service. The carrier, which last year garnered over 50% market share for new car connections, has such a huge network with many major manufacturers.

T-Mobile also has similar offering through its SyncUp Drive plug-in and in fact, its data plans are cheaper than those of its rivals. In the meantime, Verizon’s stock closed at $49.71 a fall of $0.45 or 0.90%.